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1. Explain why it is important for a firm to know it's efficient scale of production and how a firm determines its efficient scale of production.
2. Explain how a market with no barriers to entry or exit results long run economic profits equaling zero.
A used car dealer purchased my 1992 Ford Tempo for $1,000. He paid a worker $200 to wash it. He purchased four tires for a total of $400 to replace the existing tires on the car. He sold the car for $4,000. All these economic activities took place in..
Suppose which Sam is now growing wheat on enough land to produce 7,000 bushels of wheat. Illustrate what is the opportunity cost.
In an English open outcry auction,
The oil price shock embodied an inflation rise of 3 percentage points and inflation turned out to be 1.5%. What effect did the financial crisis have on the unemployment rate?
The North American Free Trade Agreement (NAFTA) is a trade agreement between the United States, Canada, and Mexico whose purpose is to eliminate tariffs between the countries and promote all aspects of international trade.
Elucidate relationship among production curves average product and marginal product also cost curves average variable cost, average total cost and marginal cost.
Elucidate how does the dissolution of the partnership leave Disney vulnerable. What could Disney have done to protect itself from these vulnerabilities in the original negotiations.
Elucidate what could be done to encourage people to spend more so as to increase aggregate demand and, invariably, create employment possibilities.
Illustrate what must the saving rate be to achieve the Golden Rule level of capital.
In the system of “approval voting”, a citizen may vote for as many candidates as she wishes. If there are two candidates, say A and B, for example, a citizen may vote for neither candidate, for A, for B, or for both A and B. As before, the candidate ..
Show your budget constraint and your optimum point. Do you now work more or less than 10 hours? Does the government collect more or less revenue than before?
Suppose the government imposed a price ceiling on a monopolist. Let denote the price ceiling, and suppose the monopolist incurs no costs in producing output. True or false: If the demand curve faced by the monopolist is elastic at the price, then the..
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